Genstar Capital will buy a majority stake in investment management firm First Eagle Investments through funds it owns. The transaction is expected to close in the second half of 2025.
Funds controlled by Blackstone and Corsair, along with certain co-investors, have owned a majority of First Eagle Investments’ parent firm First Eagle Holdings since 2015, the companies said. First Eagle’s founding families, as well as current and former employees, own the rest.
In the transaction, private equity funds managed by Genstar will buy a majority stake in First Eagle from Blackstone, Corsair and their co-investors, the firms said.
The transaction is expected to aid in First Eagle’s organic and inorganic growth and expand its range of investment solutions. It’s leadership and investment teams will remain intact, according to a news release.
First Eagle’s investment capabilities include equity, fixed income, alternative credit and multi-asset strategies. It focuses on active, fundamental and benchmark-agnostic investing, emphasizing downside mitigation.
“The transaction with Genstar preserves our client-centric ethos and operating independence while providing fresh capital to enhance our value to clients,” said Mehdi Mahmud, CEO and President of First Eagle. “Combined with First Eagle’s reputation as a preferred destination for top talent, Genstar’s partnership will accelerate the pace at which we expand our investment capabilities and client reach, both organically and through acquisitions.”
Tony Salewski, Managing Partner of Genstar, said that First Eagle’s “investment-led culture, market-leading investment solutions and broad distribution capabilities are differentiated among premiere investment managers. We believe these attributes make First Eagle an ideal platform to capitalize on growth trends in the investment management industry, and we look forward to supporting the team on this continued journey.”
Kelly Wannop, Managing Director of Blackstone, said, “We thank the First Eagle team for their partnership over the course of our investment in the company, as the business built upon its strong foundation and further diversified.”
Corsair, meanwhile, was “pleased with First Eagle’s development over the course of Corsair’s nearly 10-year partnership with Mehdi and the leadership team, and our role in driving the evolution of the business—most notably, diversifying the product base via the acquisition of alternative credit expertise and enhancing distribution, especially in the US wealth channel,” said D.T. Ignacio Jayanti, CEO of Corsair.
Simpson Thacher & Bartlett and Davis Polk & Wardwell are legal counsel, and Morgan Stanley is lead financial advisor, to First Eagle.
Willkie Farr & Gallagher is legal counsel, and Moelis & Company is lead financial advisor, to Genstar.
First Eagle had about $144 billion in assets under management as of Dec. 31, it said.
Jeff Berman, Contributing Editor and Reporter at Wealth Solutions Report, can be reached at jeff.berman@wealthsolutionsreport.com.
